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SAE selects Pexapark for 240 MWh battery storage project in the UK
Pexapark helped structure long-term revenue deal for SAE’s 120MW standalone battery storage project located in Wales.
SAE has partnered with Pexapark as commercial advisor for its Afon Wysg 1 (AW1) battery storage project, a 120MW / 240MWh standalone system based at the Uskmouth Sustainable Energy Park in South Wales. The project is expected to enter commercial operation in early 2027 and is part of SAE’s broader strategy to build and operate clean energy infrastructure.
AW1 is one of the UK’s largest dedicated battery sites located at a former coal burning power station site and reflects a growing trend toward long-term revenue contracts for battery assets. Projects by firms like Zenobe and Pulse Clean Energy have taken similar approaches to improve bankability in a volatile merchant market.
See also: SAE and Econergy recently partnered on five-hour battery storage project at Afon Wysg 2.
Pexapark supported SAE in procuring and structuring a 12-year floored revenue optimization agreement with EDF Energy Customers Limited. The process, according to the companies, involved weighing trade-offs around contract terms, revenue stability, and operational flexibility.
“Battery storage is a fast-moving and complex space, and each project requires some degree of tailoring to ensure bankability and long-term value,” said Rob Hudson, lead energy storage advisor at Pexapark. “As the offtake market evolves, transaction expertise and structure-specific insights are essential to strike the right balance between revenue certainty and merchant exposure. We’re proud to support SAE as they scale their storage ambitions and take a leading role in the UK energy transition.”
David Taaffe, chief operating officer at SAE, said, “Reaching this milestone for Afon Wysg 1 is a huge achievement for our team. The support from Pexapark has been critical in helping us run a robust offtaker selection process and ensuring the commercial structure met our financing needs. Their understanding of BESS contracts and market design gave us confidence in securing the best deal possible for this project.”
This follows SAE’s success in securing Capacity Market revenues in March, which will supplement income for the site, along with securing a £8.5 million loan from Cardiff Capital Region’s (CCR) Strategic Premises Fund.